2015 Quest for Quality: Rail/Intermodal investing in service excellence

By Staff
August 01, 2015

As Jeff Berman recently reported in our 2015 Rail/Intermodal Roundtable, the many service performance issues that faced the nation’s rail networks over this past winter and into early spring are clearly on the mend—and that’s great news for shippers heading into the peak season.

Those service-related issues were front and center as a driver in the decline of carload volumes recently. But despite the various challenges the sectors have dealt with this year, there are reasons for optimism as the calendar moves ahead in 2015.

Rail/intermodal shippers can breath a sigh of relief knowing that, according to the Association of American Railroads, the U.S. freight railroads are set to spend $29 billion on the country’s rail network this year, a massive capital outlay earmarked to improve their own infrastructure and equipment. According to the rail carriers, these substantial investments will continue to go towards shipper objectives for things like improved transit times and increased efficiency.

According to our readers the continued heavy investment is paying off in a big way for the 11 service providers listed below. Crossing the finish line first in the Rail/Intermodal service provider category this year we find Union Pacific Railroad with a 41.57 weighted average. And, Union Pacific put up top attribute numbers in Information Technology (6.95), Customer Service (8.16), and Equipment & Operations (7.78).

Florida East Coast Railway pulled in first in the On-time Performance attribute category with a 10.23, while CSX Transportation/CXSI put up the top mark in Value with an 8.92. Only a tenth of a point separated Florida East Coast, CSX, and BNSF, further indicating the solid competition that’s been created due to the continued investment in U.S. rail infrastructure.

In the Intermodal Marketing category this year, Hub Group posted the top weighted score of 45.10, putting up top marks in On-time Performance (11.14), Value (10.13), and Equipment & Operations (8.27) attribute categories. Alliance Shippers pulled in second with a 44.52, scoring highest in Information Technology (6.98) and Customer Service (9.37).